HK Stock Market Move | ENN ENERGY (02688) rises more than 3%, privatization plan priced reasonably, institutions point to new developments expected in the fourth quarter.

ENN ENERGY (02688) rose more than 3%, as of the time of publication, it has increased by 2.66%, trading at 67.6 Hong Kong dollars, with a turnover of 2.01 billion Hong Kong dollars. On the news front, Guoyuan International pointed out that according to the privatization plan, the theoretical total value of ENN Energy's parent company ENN Natural Gas's acquisition is 80 Hong Kong dollars per share, which is still a premium of about 26% compared to the current price. The 80 Hong Kong dollars per share price consists of cash payment of 24.5 Hong Kong dollars per share and share swap payment of 2.94 shares of ENN Natural Gas H shares per share. According to the plan, the average stock price of ENN Natural Gas H shares after listing is 18.86 Hong Kong dollars, corresponding to a dynamic PE ratio of about 10 times in 2025. Based on the stable growth of the company's performance and dividends, there is still some potential for upward valuation of the H shares in the future. Overall, the company's privatization pricing is reasonable and fully considers the interests of existing and long-term shareholders. The bank pointed out that based on the progress of the company's announcement, it is still necessary to wait for the registration and filing by the relevant government departments in mainland China, approval/filing by the China Securities Regulatory Commission, approval for listing on the Hong Kong Stock Exchange, and at least two-thirds of independent shareholders to vote in favor of these three prerequisites conditions, expecting new progress in the fourth quarter.